Multinational brokerage firm Interactive Brokers has tapped Paxos Trust Company to launch a crypto trading service. According to a September 13 release, the service will allow clients to trade and custody Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and Bitcoin Cash (BCH) through Paxos.
Three months after announcing its foray into crypto trading, Interactive Brokers has finally added the first set of digital assets on its platform through Paxos.
For the time being, the firm’s cryptocurrency services will be limited to US residents, who either own individual or joint accounts. However, Interactive Brokers said that it intends to expand the service to other client types, including Financial Advisors and those in other parts of the world.
In its announcement, the firm claimed that it would charge low commissions of just 0.12% - 0.18% of trade value. Also, customers would be able to access both traditional assets and cryptocurrencies on the platform through a single interface.
Commenting on the new service, Interactive Brokers’ CEO Milan Galik stated:
Interactive Brokers’ intent to enter the crypto market first came to light in June. At the time, the firm’s chairman Thomas Peterffy had indicated that there’s a significant demand for crypto trading and the firm wants to cater to it by the end of summer.
Notably, Peterffy himself has been critical of linking Bitcoin and other cryptocurrencies to the economy through regulations. However, during an interview with CNBC, he admitted to investing in digital assets since "you have to play the odds."